Amazon has announced plans to invest A$20 billion (US$12.97 billion) between 2025 and 2029 to expand, operate, and maintain its data center infrastructure across Australia, marking its largest technology investment in the country to date.
The announcement, made via an official blog post on Saturday, highlights Amazon’s strategic focus on strengthening artificial intelligence (AI) and cloud computing capacity in key global markets. The investment will primarily support new server capacity and generative AI workloads through its Amazon Web Services (AWS) division.
“This is a huge vote of confidence in the Australian economy,” Prime Minister Anthony Albanese said on social media platform X. “Amazon Web Services’ A$20 billion investment in data centres in Australia will set us up for the future, boosting our economy and productivity.”
As part of its long-term commitment to sustainable growth, Amazon also revealed plans to develop three new solar farms in Victoria and Queensland. The company will purchase over 170 megawatts of combined power capacity from these renewable energy projects, further advancing its goal of operating on 100% renewable energy by 2030.
The announcement comes amid a global race among major tech firms to scale up infrastructure to meet the surging demand for generative AI and cloud-based services. Amazon, Microsoft, and Google have all significantly expanded their data center operations worldwide to capture growing market share and support increasingly complex AI workloads.
Earlier this week, Amazon disclosed a separate US$20 billion investment plan to expand data centers in Pennsylvania. In early June, the company announced a US$10 billion investment in North Carolina and more than US$5 billion in cloud infrastructure in Taiwan — part of a broader strategy to position itself as a leader in global AI deployment.
Analysts say Australia’s strong regulatory framework, growing tech ecosystem, and abundant renewable energy resources make it an attractive location for long-term digital infrastructure development.
The Australian government has welcomed the investment as a major boost to the nation’s digital economy and a step forward in preparing for the AI-driven future.
With this move, Amazon reinforces its global commitment to expanding AI infrastructure while deepening its presence in the Asia-Pacific region — an area poised to become a major hub for next-generation technology development.
